American Express and Indian Airlines on Tuesday launched a global co-branded 'Gold' card for Rs 5,900, targeting frequent flyers.

"It's a part of a plan that IA is offering for different segment of customers. The new card offers the best choice in airline industry," IA chairman Sunil Arora said in New Delhi.

The Indian Airlines American Express Gold Card offers 25 per cent savings on business class fare and 10 per cent on economy class, one free return ticket on every Rs 100,000 spent on the domestic airline, air accident insurance cover of Rs 75 lakh (Rs 7.5 million), among other benefits.

Arora said the tour and travel sector was looking up and this fiscal would fare well for the airline compared to 2002-03.

Amex country manager K L Muralidhara said the company already had a tie up with IA for a silver card, which was now upgraded through the gold card.